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    • In his first proper solo release since 1996's relatively cold "The Drop," Brian Eno has constructed a whimsical and ecclectic masterpiece which is arguably one of the year's strongest records thus fa
  • Stadium Arcadium

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    • What? Only four stars, you stingy bastard? I'm asking myself the same question, so let me explain myself to myself... If I compare the new

  • Bowie at Beeb: Best of BBC Radio 68-72

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News

BW: Before the Halo Effect, There Must be a Halo

Steve Jobs is in Europe this week, making announcements and chatting with European officials. The goal is to pave the way for the iPhone in the hopes of later creating the the same halo effect in Europe that’s propelling the Macintosh sales in the U.S. However, the iPhone must first be successful there to create the halo, according to Business Week on Thursday.

Initially, the halo effect was dismissed, but BW’s Arik Hesseldahl admitted that it was real. That effect has driven Mac market share in the U.S. to a modern high of 4.7 percent.

It’s not so great in Europe and Asia where Apple has 2.7 and 0.7 percent of the market respectively. So if Apple wants to generate excitement for its Macintosh products, especially in areas where Apple is thin in its retail store presence, the iPhone must become a big success in those regions. That’s why Mr. Jobs is in Europe this week.

In Europe, the iPhone is up against customers who are demanding. They have been able to use more advanced technologies than the U.S., and they have better coverage than in the U.S. Early adopters will make or break the iPhone’s gamble on the EDGE network. It’s far worse in Asia, especially Japan, Taiwan, China and South Korea where the requirement for a 3G mobile phone is absolute.

"...an iPhone flop in Europe would cast a pall just as Mac sales are beginning to grow at healthy clip. For the first three quarters of 2007, Mac sales in Europe hit 1.3 million units, an improvement of more than 31%. But unhappy iPhone buyers won’t do Mac sales any favors. Maybe Apple should have waited till 2008 to try to make the iPhone the international superstar Jobs so badly wants it to be," Mr. Hesseldahl concluded.

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